Online lettings agency Upad says it’s to offer landlords a proprietary system to collect rental payments via Direct Debit.
Its system, called Rent Manager, is a Direct Debit controlled rent collection system that will provide landlords with tenant’s rent on time each month.
“So many aspects of our lives are already paid via direct debit and it’s staggering that this hasn’t been the norm in the rental market before now. If you pay a utility bill or mobile phone bill late, you get cut off. Missed mortgage payments lead, eventually, to repossession. Yet there is an underlying assumption that being ‘a few days late’ with the rent is acceptable and it’s simply not” claims James Davis, founder of Upad and himself a portfolio landlord.
“Over half of all UK landlords have a mortgage on at least part of their property portfolio, whilst it’s likely that all landlords rely on their rental income, to some greater or lesser extent. Therefore, to be left without total certainty that the money will come in each month is something which needs to stop” he adds.